Dorney Park parent reports strong earnings

Revenue and attendance up at theme parks owned by Cedar Fair Entertainment.

August 03, 2011|By Tyrone Richardson, Of The Morning Call

Cedar Fair Entertainment Co., owner of Dorney Park & Wildwater Kingdom, on Wednesday reported an increase in second-quarter revenue and attendance compared with the same period a year ago.

Cedar Fair, the nation's third largest amusement park chain, reported net revenues for the second quarter increased $8.9 million to $284.5 million, up 3 percent from $275.6 million in the second quarter ended June 27, 2010. Net income for the current quarter was $4.7 million, compared with a net loss of $4.2 million for the same period in 2010.

The Sandusky, Ohio-based company does not provide information on individual parks. It owns 18 amusement and water parks in such states as Ohio, California and North Carolina.

The company's increased income was helped by added concessions, which raised in-park spending that averaged $38.95 per guest, up 1 percent compared with a year ago, officials said.

That includes Dorney Park in South Whitehall Township, which has added a 100-seat Chickie's & Pete's stand this year. It's the first Lehigh Valley location for the popular regional chain best known for scallop-cut french fries seasoned with seafood spices.

During the three-month period that ended June 27, the company's parks entertained 6.7 million guests, an increase of about 93,000 visitors compared with the same time last year. The company's theme parks also entertained 5 percent more visitors in July compared with the same month in 2010.

Dick Kinzel, president and CEO of Cedar Fair, projected that the company's positive attendance will continue because families are choosing entertainment venues close to home.

Six Flags Entertainment Corp., the nation's largest theme park owner, reported last week that its second-quarter revenue increased 5 percent over the prior year period to $339 million. The Grand Prairie, Texas-based owner of Six Flags Great Adventure in Jackson, N.J. , said its positive results were due to higher admissions revenue and stronger guest spending.

This year, Cedar Fair has been acquiring land near some of its properties.

That includes the company's recent $2.75 million purchase of a 6.75-acre property at Dorney Park Drive and Hillview Road, adjacent to Interstate 78 in South Whitehall Township.

Cedar Fair hasn't officially announced a purpose for the land, but a recent statement said the company may use it for rides, other attractions or parking.

Cedar Fair also recently paid $2.6 million for 61 acres adjacent to the Company's Carowinds amusement park in Charlotte, N.C.